Accrol, a U.K.-based independent tissue converter, has finalized the acquisition of Severn Delta Limited, a maker of wet wipes and tumble dryer sheets based in Somerset, U.K. Delta's revenues are reported at £5 million. The acquisition was funded through the group's existing cash reserves.
The acquisition of Severn Delta demonstrates Accrol's ambition to expand into other household products through strategic and complementary acquisitions which strengthen and extend its existing product offerings. Severn Delta brings additional capacity and new capabilities to Accrol's growing wet wipes business. Accrol entered the wet wipes in 2021 when it purchased John Dale, Ltd., a maker of flushable and biodegradable wipes. The successful integration of this company as well as the strong growth prospects felt in the wipes market affirm that Acroll can scale the business at pace, utilizing Accrol's existing relationships with U.K. retailers and grocers and benefiting from cross-selling to the new key accounts Severn Delta brings.
Severn Delta currently operates four production lines at its 33,000-square-foot facility in Somerset. Three of these lines manufacture biodegradable personal care, household and disinfectant wet wipes and the fourth produces tumble dryer sheets.
"We are pleased to announce the acquisition of Severn Delta and welcome its employees into the group. Severn Delta enhances our marketshare in the wet wipe segment and extends our product range, adding further personal care and household wipes," says Gareth Jenkins, CEO of Accrol. "The business currently operates four production lines which we believe can be utilized further to support our customers with their growth and generate a significant return on investment."